HobbyTown Franchise Review 2026: Ratings & Verdict

Product details

Contents

Key facts


The Verdict

Quick Verdict · who it fits

HobbyTown fits first-time franchise buyers looking for a mid-scale retail concept.

✓ Strengths

⚠ Risks to review

Key FDD Facts

The numbers a buyer needs first — straight from the filing.

Initial investment (Item 7)

$327K - $458K

Franchise fee (Item 5)

$50K

Royalty (Item 6)

4.75% + 2% ad

Item 19 median rev

$1.44M all reporting franchised stores

System size (Item 20)

85 +1

Agreement term

10 yrs

Years in business

41+ yrs

Training (Item 11)

147 days

Item 3 litigation

None disclosed

Model HobbyTown's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.

Buyer qualifications

✓Exclusive territory✓Semi-absentee eligible✓No bankruptcy disclosed✓No Item 3 litigation

Data extracted from the 2026 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.

What you'd pay the franchisor

Drag to your projected annual sales. Royalty 4.75% + ad fund 2% on gross sales.

PROJECTED ANNUAL SALES$1,440,000

$100k$2.6M

Royalty (4.75%)

—

Ad fund (2%)

—

Total / year

—

▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration

Executive Summary

Free AI summary — the first read on the filing.

Key Numbers

94

Total units open

2

Units opened last year

8

Units closed last year

-6

Net unit growth

AI Due Diligence Findings PREMIUM

What our analysis flagged across the 2026 filing.

5

Risks to review

4

Strengths identified

5

Questions to ask

Industry Benchmarks

How HobbyTown ranks against 126 Retail peers we've analyzed.

Initial investment

76th pct · of 126 peers

Franchise fee

65th pct · of 126 peers

System size

54th pct · of 126 peers

Retail industry averages

Avg investment

$254K - $680K

Avg franchise fee

$38K

Avg system size

225

Franchises analyzed

126

How HobbyTown stacks up

Closest concepts by category and investment.

Brand Item 19 Fee Investment Royalty Units
HobbyTown Disclosed $50K $327K - $458K 4.75% 85
WinmarkSimilar price None $25K $343K - $457K 5% 302
7-ElevenBiggest system Disclosed — $163K - $1.7M 45–56% 7,274
Byrider Franchising PartnersTop-rated in category Disclosed $60K $947K - $1.6M 1–2.5% 81

Compare side-by-side ↗

Not sure HobbyTown is the one?

Answer five questions and get matched against 2,000+ analyzed FDDs — including every Retail brand we cover. Free, no account needed.

Find My Match →

Franchise research guides

Free explainers to go deeper before you sign.

Brand Analysis

7-Eleven Franchise Cost: $162,900 to $1,656,800 in the 2026 FDD

The '$0 franchise fee' is the bottom of a range, not the fee. 7-Eleven's 2026 FDD prices the Franchise Fee at $0 to $1,100,000 per store, and the ongoing 7-Eleven Charge is not just a royalty: Item 6 says it is also your lease of the store and equipment. Here is the full cost stack, line by line.

Learn more →

Brand Analysis

Is Ace Hardware a Franchise? A Co-op Some States Call One

Ace Hardware Corporation is a retailer-owned cooperative, not a conventional franchisor. It counted 5,250 cooperative locations in the United States at the end of 2025, members buy stock rather than paying a royalty, and some states still deem those member-owned stores franchises.

Learn more →

Investment Guide

Laundromat Franchise Opportunities in 2026: Costs, Profit & Top Brands

Laundromats are the most-Googled passive-income business, and 2026 is a strong moment for the category. Here's an honest breakdown of what laundromat franchises actually cost, how profitable they are, and which brands deserve a serious look.

Learn more →

Get franchise information FREE

Frequently Asked Questions

How much does a HobbyTown franchise cost?

HobbyTown requires a $49,500 initial franchise fee and a total initial investment range of $327,100–$458,000, per the most recent FDD on file.

Who owns HobbyTown?

HobbyTown is franchised by Hobby Town Unlimited, Inc., the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the franchisor's corporate history, parents, and predecessors.

Does HobbyTown disclose financial performance (Item 19)?

No. HobbyTown does not include a financial performance representation in its FDD. Prospective buyers should rely on validation calls with existing franchisees and benchmark against industry medians.

What ongoing fees does HobbyTown charge?

Franchisees pay a royalty of 4.75% and an advertising fund contribution of 2% on gross sales as defined in Item 6 of the FDD.

How many HobbyTown locations are there?

As of their 2026 FDD, HobbyTown has 85 total locations, with 1 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.

Does HobbyTown offer franchisee training and support?

Yes. HobbyTown's most recent FDD documents approximately 147 days of initial training, typically split between classroom and on-site components. See Item 11 of the FDD for the full training and support schedule.

Does HobbyTown grant exclusive territory?

Yes. HobbyTown grants franchisees an exclusive territory under Item 12 of the FDD. Note that exclusive territories often carve out online sales, alternative distribution channels, and non-traditional venues — review the full Item 12 language before signing.

What are the renewal and exit terms?

Per the FDD, HobbyTown discloses an initial agreement term of 10 years, a transfer fee of $10,000. Review Items 10 and 17 for the full renewal and termination provisions.

Cite this page

Related on this site


This page is part of VetMyFranchise. View all pages: llms.txt · llms-full.txt

Site index for AI agents: llms.txt · sitemap